Jul 18 2024
Megan Reschke

How Advertisers Can Engage Younger Generations in a Rapidly Evolving Digital World

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If there’s one trait that sets winning advertising teams apart, it’s the ability to adapt to change. From shifting consumer behaviors and digital media habits, to new and ever-evolving technologies, to dynamic social and economic influences, digital advertisers must constantly adapt to stay at the top of their game.

This need for adaptability is particularly evident today, as rapid technological innovation (we’re looking at you, generative AI) coupled with shifts in which generations hold the most purchasing power are forcing advertising teams to rethink how they connect with target audiences. This is particularly evident in the search and social spaces, which are seeing significant changes in usage among younger internet users.

To succeed in this landscape, digital advertisers must remain agile by staying up to date on the latest technological developments and seeking to understand how they are influencing how younger generations engage online. In doing so, marketing teams can create tailored strategies that resonate with younger audiences and maximize their impact in today’s ever-evolving digital world.

Understanding Younger Generations

Today, digital marketers must connect with both audiences who grew up with the internet and those who did not. Looking towards the future, however, teams must be prepared to engage primarily with full digital natives, or those who have always known a connected world.

At present, nearly half of the global population is part of either the millennial or Gen Z generations. And the number of Gen Alphas, the generation that follows Gen Z, is forecast to surpass that of baby boomers by 2025. While millennials grew up with the internet as it evolved, Gen Z and Gen Alpha are the first two generations born into a world where the internet has always been an integral part of their lives.

Because they grew up with the internet woven into their day-to-day, younger consumers often expect a high degree of continuity and personalization from channel to channel. Whether they’re scrolling on TikTok or Instagram, playing a game in an app, or navigating a brand’s website, they generally anticipate a consistent and integrated experience. And, younger generations have made it clear that personalization should be a priority for advertisers, with 57% of millennials and a whopping 81% of Gen Zers saying they like personalized ads.

Given that these generations are progressively acquiring more buying power, understanding how they use the internet will be critical for advertisers looking to connect with millennials and Gen Zers now, as well as Gen Alphas as they grow older and amass more purchasing power.     

Digital Natives and the Shift Towards Social Search

Millennials, Gen Z, and Gen Alpha are all deeply familiar with the internet, with many members of these generations having never known a world without it. They spend a significant amount of time online, and use online tools in different ways than prior generations.

Take, for instance, social media. Where baby boomers, seniors, and about half of Gen Xers tend to use these platforms primarily for messaging, Gen Zers and millennials rely on them for news, short-form videos, product and service insights, and other information as well. For brands and advertisers, this presents a distinct opportunity to connect with these younger users when they’re actively searching for products, news, and other information. In fact, social media has overtaken search engines as the primary search tool for discovery among Gen Z and millennials, representing a significant shift from prior generations’ reliance on search engines for their queries.

“Social media is very much a discovery engine, as it’s visual and browsable,” says Lindsay Martin, Group VP of Search Media Investment at Basis Technologies. “To compete and attract younger audiences that are increasingly turning to social for their search needs, Google is working on enhancing their search experience by including new offerings such as Circle to Search or Google Lens.”

How GenAI is Impacting Younger Generations’ Digital Habits

In addition to the social search trend, another major force is impacting how younger generations behave online: generative AI. Advertisers must understand these evolutions in behavior and plan for how they will continue to change as generative AI further disrupts the landscape.

Though ChatGPT has only been around for a couple of years, 61% of Gen Z and 53% of millennials report that they are using AI tools in place of search engines when seeking information on a topic. And, recent reports have found that search engine volume could drop by 25% by 2026, thanks to AI chatbots and other virtual agents.

Additionally, search engines are integrating genAI features that will further change the broader search landscape, likely in an effort to appeal to these younger audiences. Google, for example, recently introduced AI overviews, which provide an AI-generated summary as the first “search” result when users turn to the platform for a query. Since this overview appears before all organic search content, it could very well decrease the amount of organic web traffic from what websites have been able to generate in the past.

“In this context, there will likely be an even greater emphasis on paid (rather than organic) search,” says Martin. “The paid ad experience will also continue to evolve to monetize the AI experience. For instance, at Google Marketing Live earlier this year, Google made announcements about testing Search and Shopping Ads in AI Overviews, though this is still in early stages.”

Social media platforms have been quick to embrace AI-driven features as well. Meta AI, for example, is a new AI-powered assistant that answers questions and helps connect Meta platform users to more relevant content. As social media continues to evolve with the help of GenAI, more unique opportunities will become available for brands to connect with younger users as they spend time connecting with others andsearching for new information and products on these platforms.

Strategies to Connect With Younger Audiences Amidst These Changes

The question, then, is how advertising teams can adapt to younger generations’ unique online habits amidst these technological shifts. Leaders should consider the following strategies as they strive to connect with younger generations:

Strive for Omnichannel Cohesion

Even as their media habits change and the channels themselves evolve, younger consumers expect a seamless experience across all digital channels. To implement an effective omnichannel strategy, teams can use data to identify key consumer touchpoints and preferences, work cross-functionally to ensure different departments are aligned and working towards a unified brand message, and leverage advancements in machine learning and AI to automate and optimize personalization efforts. Additionally, making optimization a priority and regularly reviewing and refining strategies based on real-time data can help teams stay ahead of trends and maintain a cohesive brand experience.

Leverage Data-Driven Insights

Advertisers should ensure they have systems in place to effectively collect, organize, and analyze customer data to understand how younger audiences are engaging with different platforms, particularly as those platforms evolve. To that end, leaders might consider investing in newer tech offerings—for example, CDPs, which streamline the collection, organization, and use of first-party data; or automation solutions, which allow teams to access and action critical data through a single platform. By making it easy to both gather and analyze insights, advertisers can create personalized messaging that resonate with target audiences’ unique needs.

Embrace Change as an Opportunity to Grow

As younger generations’ online behaviors evolve amidst technological advancements, it can be easy to see this complexity as an obstacle to success. However, leaders who reframe this change as an opportunity for experimentation and growth will be able to maintain relevance and forge meaningful connections with young audiences—both today, and in the years to come.

For instance, leaders might encourage their teams to experiment with different forms of interactive content that is particularly impactful with young audiences today (i.e., short form videos or gamified ads), use A/B testing to determine which iterations and placements yield the highest engagement rates, and then use insights from these experimentations to inform future marketing efforts. By embracing experimentation, teams can bolster media efficacy, hone their creativity, and create a team culture centered on adaptability.

Wrapping Up

Digital advertisers today face the challenging task of adapting to younger audiences’ preferences and online habits, particularly as these habits shift based on new technologies and advancements. By seeking to understand these consumers’ online behaviors amidst profound digital transformation, advertising leaders and their teams can gain crucial insights to effectively capture the attention and loyalty of today’s digitally savvy consumers.

Specifically, identifying how technological innovations in search and social are influencing younger consumers’ behavior is key for today’s advertisers. By researching and implementing strategies based on these shifts, advertisers can create content that resonates with younger audiences, meets them when and where they’re spending time online, and fosters connection in today’s ever-evolving digital landscape.